The trading of forward FX contracts by FX dealers:
A) exposes them to FX risk
B) exposes them to interest rate risk
C) requires they borrow funds to invest in securities in the currencies they supply
D) requires they borrow funds in the currencies they supply
E) requires they predict future movements in FX spot prices.
Correct Answer:
Verified
Q62: Given a spot rate of AUD/USD0.5740, and
Q63: A dealer quotes AUD/EUR0.9845-65.
A)The dealer will buy
Q64: If the spot rate is USD/CAN1.67 and
Q65: A floating exchange rate does NOT:
A)establish the
Q66: The value of currencies is most commonly
Q68: The value of the AUD can be
Q69: Dealers in foreign currency do NOT:
A)need to
Q70: In a foreign exchange market:
A)exporters are exposed
Q71: Which of the following statements is correct?
A)When
Q72: An Australian fund manager intends to convert
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